AT&T has completed its $1.9 billion acquisition of spectrum from Verizon Wireless.

The deal includes the transfer of licenses in the 700 MHz and AWS bands. Verizon agreed to sell 39 lower 700 MHz B block licenses to AT&T for $1.9 billion. In exchange, AT&T will hand over 10 MHz of AWS spectrum to Verizon in western markets like Los Angeles, Phoenix, Fresno, and Portland, Oregon.

Verizon also sold 700 MHz B block licenses to Florida-based private equity firm Grain Management for $189 million in exchange for leased access to Grain's AWS spectrum in Dallas, Texas - which Grain is buying from AT&T.

The arrangement was first announced in January, and is intended to help AT&T's rollout of its 4G LTE network, which has now launched in 396 markets. The carrier said it wants to "substantially complete" its 4G LTE buildout by the summer's end.

Verizon agreed to give up its spectrum, meanwhile, in order to gain regulatory approval for its $3.6 billion purchase of spectrum from U.S. cable companies. That deal went through in August 2012, but only because Verizon promised last year to sell its 700 MHz spectrum.

Back in 2008, Verizon spent $9.4 billion on 109 licenses in the 700-MHz band during an auction run by the Federal Communications Commission, ending up with spectrum in the A, B, and C blocks. Verizon said last year that it has used spectrum in the upper C block to deploy its 4G LTE network, and plans to use the cable-owned spectrum to continue that rollout. As a result, Verizon sold the 700-MHz spectrum it purchased in the A and B blocks to the highest bidder.

About the Author

Before joining PCMag.com, Chloe covered financial IT for Incisive Media in NYC and technology policy for The National Journal's Technology Daily in Washington, DC. She has held internships at NBC's Meet the Press, washingtonpost.com, the Tate Gallery press office in London, Roll Call, and Congressional Quarterly. She graduated with a bachelor's deg... See Full Bio

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